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Ideally, youll have started preparing for retirement well before you hit the magic number.
Also see mistakes that will keep you from retiring wealthy.
How would you design your ideal life, within reason, given your current finances?
How do you envision your post-working life?
Is it filled withnew experiences, activities and travelto exotic locations?
Or is it simpler, quieter and closer to home?
The next year, multiply that $30,000 by the inflation rate to find your annual budget.
Of course, this is more of a suggestion than a rule.
Make a Budget and Stick to It
Budgeting is the key to saving money.
Start by listing groceries, rent, insurance, utilities and other essentials.
Then, review your past spending to see how much you typically spend on other expenses.
Currently, Social Security retirement benefits average $1,867 per month.
To combat this, give yourself aweekly, bi-weekly or monthly salarybased on your budget.
Plan for Variations in Your Retirement Spending
You wont spend the same amount of moneyevery single year.
But that nest egg can quickly shrink if youre not carefully tracking what you buy each month.
Hire a Financial Advisor
Financial advisors arent just for the super wealthy.
Think of hiring one for a one-time meeting as an investment in amore secure financial future.
For instance, it may make sense for some people to stop paying for alife insurance policyonce theyre retired.
Talk to your insurance advisor to learn more about what types of insurance are necessary for retirees.
Decrease Your Debt
Its tempting to makebig spending decisionsthat could help you enjoy retirement to the fullest.
But when youre planning for life without additional income, its wise to avoid adding to your debt load.
For women, who tend to live longer, the estimate is around $165,000.
You also have a higher filing threshold than younger people and can claimcertain tax creditsthat lower your bill.
Consider Earning Extra Income
Just because youve retired doesnt mean you have to stop working entirely.
One study found that 20% of retirees work at least part time.
Live Below Your Means
This rule encompasses all of the other lifestyle habits.
Relegating purchases you cant afford to the credit card doesnt match the previous maxim of living below your means.
Credit card debt can quickly spiral out of control and wipe out a large chunk of your budget.
Stop Buying Bottled Water
Investing in a water filter will save you money in the long run.
It also is better for the environment and reduces grocery store runs.
But this rule doesnt apply just to water.
Limit Eating Out at Restaurants
Theaverage American householdspends around $3,600 a year on eating out.
Be More Frugal When Grocery Shopping
Its not just eating out that eats into your budget.
Do you really need a second or third vehicle?
Could you trade in your old gas guzzler for a newer car thats more fuel efficient?
Is it possible to negotiatereduced auto insurance payments?
But it isnt cheap.
If traveling abroad, research thepeak tourist seasonsand avoid these times.
Enjoy a Staycation
Imagine youre a tourist in your own town or city.
What would you do, and where would you stay?
Staycations help you avoid expensive travel costs and provide a refreshing take on the local scenery and attractions.
Getting into this habit can help you be more conscious of your spending on other days as well.
Fixminor leaks and holesbefore they become large, costly headaches in the future.
Investing in preventative measures like covers for outdoor furniture and choosing weather-resistant materials will help keep replacement costs down.
Youll be surprised as the savings add up.
Refinance Your Mortgage
Renegotiating the terms of your mortgage can potentially help you secure lower monthly payments.
The median monthly cost sits at around $4,500.
This is a great option for people living on limited budgets, but there often are long wait lists.
Used books can be found at heavily discounted prices or even for free at your local bookstore.
Many museums already offer discounts for seniors.
Start Birdwatching
There are reasons birdwatching is so popular among older generations.
Grab a pair of binoculars and head out to the park by yourself or join your local birdwatching club.
This is a great way to meet people or relax with friends while supporting your local music scene.
Many libraries host classes and events for free or at an affordable cost.
Enjoy the freedom of retirement and act like a tourist for a few days each year.
You might find a bunch of new spots that you overlooked while locked into your old routine.
Take Up Photography
You dont need to invest in high-end camera equipment to enjoy photography.
Start Sketching
Drawing is another artistic hobby, and it only requires a pencil and a sketchbook.
Head out to your favorite park or sit across from a piece of architecture you admire and start sketching.
Join Free Cooking Classes
Learning how to cook new dishes can bring extra flavor to your life.
Sometimes, grocery stores and community centers will offer free cooking classes and demonstrations.
If you get hooked, joining a local astronomy club can help you learn more about the constellations.
Start Scrapbooking
As we get older, preserving memories takes on greater significance.
If youre looking to save money, these events can be a great source of entertainment during retirement.
Take up a cause that youre passionate about and volunteer at your local organization.
Youll make a difference and meet like-minded people along the way.
It doesnt cost much and creates lasting memories.
you’re able to make beautiful cards to send to your loved ones that theyll cherish forever.
From sourdough to ciabatta, youll never run out of new recipes to try.
Host Potlucks
Build a stronger community by hosting potlucks for your neighborhood or with friends and family.
Since everyone brings their own dish, theres less pressure on your grocery budget.
Watching a comedy show is an affordable date night idea that sparks great conversations.
Try Your Hand at Woodworking
A classic retirement hobby, making your own furniture is incredibly satisfying.
Its the perfect activity for practicing mindfulness and improving your mobility.
Check out your local pool for classes and see whether it offers discounts for seniors.
There are many public and private plans on the market that suit different health conditions and budgets.
Use All Your Medical Benefits
The cost of Medicare Part B starts at $174.70 per month.
Drinks are often the most marked-up items on the menu.
Make ordering a special drink a treat, not a habit.
Its a low-impact activity that doesnt require any equipment besides a yoga mat.
Look for free or affordable beginner classes at your local gym or community center.
Its great for circulation and can help you meet new people.
Go for a Hike
Take your walks up a notch and go for a hike.
Writing your thoughts down in a journal or diary could be the cathartic outlet you need.
This will help you get the most out of your workouts and keep you more accountable.
Learn How To Dance
Take a salsa class or take to the ballroom floor.
Dancing is an excellent way to stay fit and active in a fun, social atmosphere.
Buy Frozen Fruit and Vegetables
Freezing produce is often cheaper than purchasing fresh produce.
It preserves nutritional value, so you might buy in bulk and store it for future meals.
Homemade cleaners are also typically safer than commercial products with harsh chemicals.
Take advantage of the extra time in your schedule to pick up a new skill.
Try attending a talk on a topic you know nothing about.
It may inspire you to take your retirement life in a new direction.
Theres a chance that an interesting author is giving a book or poetry reading at your local bookstore.
Attending could be the perfect way to meet people who share your interests and forge new friendships.
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